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6 November, 09:44

If the required reserve ratio, m, is 20 percent, then the oversimplified money multiplier is

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  1. 6 November, 09:56
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    If the required reserve ratio, m, is 20 percent, then the oversimplified money multiplier is five. The money multiplier is also called as the monetary multiplier and the multiplier effect. It usually depends on the amount of the various deposits.
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